The EUR/USD currency pair rose to 1.1747. The price of US WTI crude oil increased to 65.64 USD/barrel.

Oil price ended its longest series of declines of more than three years on Monday after its price was hit by the new peak of the coronavirus pandemic and the expensive dollar.

Yesterday, CBOT SRW December wheat futures prices rose by 5 1/4 to close at $7.33 1/2 a bushel. Despite the declines of the past week, the wheat market is still on an upward trend caused by the data from the August report of the USDA, which shows a low level of stocks held by the eight largest exporters in the world in 2021/22. Mathematically, it takes time to allow stocks to actually decline, consumption to absorb some of the wheat already produced and buyers to feel the shortage. Now, we are working only on expectations and we are likely to have insufficient supply in a few months. The first evidence of a lack of rainfall is from the eastern regions of Australia. There will be a frost in Argentina this week, which could affect some wheat crops. According to USDA data, as of August 22, 2021, spring wheat was harvested on 77% of the areas in the United States (58% a week earlier and 55% on average for the last 5 years). During the week ending on 19.08.2021, the export inspections of wheat from the United States were 657,854 tons (560,640 a week earlier and 569,593 a year earlier). Since the beginning of the season, export inspections of wheat from the United States have reached 5.66 million tons (6.23). Last week, Russia's wheat exports fell to 800,000 tons from 1 million tons a week earlier and 1.1 million tons two weeks earlier. At the end of the harvesting campaign of wheat in Ukraine, the country reported a wheat production of 32 million tons. In 2021, wheat production in Moldova reached 1.5 million tons, including mill wheat with a share of 60%.

Yesterday, Chicago December corn futures prices fell by 1 1/2 cents to close at $5.35 1/2 a bushel. The weekly export inspections of corn from the United States are at the level of 724,784 tons (781,528 and 892,031) and from the beginning of the season they add up to a total of 65.10 million tons (41.47). The inspections of sorghum were 128,581 tons (55,261 and 70,357) and since the beginning of the season they totaled 7.03 million tons (4.80). As of August 22, 2021, 60% of corn crops are in good and excellent condition in the United States (62% a week earlier and 64% a year earlier). According to AgRural data in Brazil, the first corn crop was sown on 4.1% of the planned areas in the central and southern regions of the country compared to 79% in 2020/21 - the difference is huge and is due to extremely dry and warm conditions in recent weeks. The potential development of La Niña in the autumn will keep the weather conditions dry in South America, which will affect the world's grain market - the first corn production in Brazil and the wheat production in Argentina will be affected. Rumors that biofuels mandates for 2022 in the US are likely to be below those of 2020 and 2021 and Pro Farmer's forecast last week for an average US corn yield of 177 bushels/acre lead to high market uncertainty and corn futures prices decreased. The USDA announced a private export sale of 458,600 tons of corn from the new crop to Mexico.

Yesterday, CBOT November soybean futures prices rose by 2 cents to close at $12.92 3/4 a bushel. There are concerns about the spread of coronavirus in Asia and how it will affect demand for soy and soy products. Problems could also arise from logistics, as Chinese ports are already congested. FOB prices of American soybeans are now 48 cents/bushel lower than those of Brazilian soybeans. Given the expected low stocks of soybeans in the US in 2021/22, prices should not fall significantly. In the US, 56% of soybean crops are in good and excellent condition (57% and 69%). The weekly export inspections of soybeans from the United States are at the level of 214,061 tons (277,686 and 1,223,251) and from the beginning of the season they totaled 58.88 million tons (42.41). Rainfall in the United States continues to vary widely in volume, but is generally beneficial for corn and soybean crops. Higher yields in Pro Farmer's forecast last week could significantly change market tensions in the United States and around the world. Important for the short-term development of the market are the Chinese regular purchases, which although small, continue. India has reduced its taxes on imports of soybean and sunseed oil for a period of 6 weeks.